Vietnam Insight

▶ In Thursday's trading session, the market improved and spread green across all industry groups. Foreign net selling pressure cooled down but remained high. Low trading volume showed that investors remained cautious after a period of strong market fluctuations, recording lower than the 20-day average.

▶ At the end of the trading session, the VN-Index increased by 11.79 points (+0.97%), reaching 1,228.33 points; the HNX-Index increased by 0.47 points (+0.21%), reaching 221.76 points. Market volume reached VND 12.18 trillion, equivalent to about 482.1 million shares traded. Foreign investors were net sold of VND 857.94 billion, focusing on VHM, SSI, HPG.

▶ Technical perspective: The market continued its good recovery trend when it increased points in most trading sessions, although liquidity was somewhat lower than the previous session. Currently, VNINDEX is still following the long-term price channel from May 2024 to present. MACD is showing a recovery trend, showing that price momentum has improved. The reference support and resistance levels are 1,200 and 1,260, respectively.

Strategy: Investors can make their first disbursement with stocks that have a good accumulation base when the general market has positive reactions in the long-term price channel. However, we still note that the market is likely to decline to form a second bottom. Therefore, investors should maintain a moderate proportion, especially in the context that VNINDEX has been trading in the 1,200 - 1,300 range for more than half a year.